vu mgt201 Final Term - Quiz No.14
vu mgt201 Financial Management Quiz
This quiz belongs to book/course code vu mgt201 Financial Management of vu organization. We have 24 quizzes available related to the book/course Financial Management. This quiz has a total of 10 multiple choice questions (MCQs) to prepare and belongs to topic Final Term. NVAEducation wants its users to help them learn in an easy way. For that purpose, you are free to prepare online MCQs and quizzes.
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Question 1: Working capital management involves the financing and management of the __________ assets of the firm.
fixed
total
current
none of the above
Question 2: Which of the following is the Double Entry Principle?
Assets + Liabilities = Shareholders’ Equity
Assets = Liabilities + Shareholders’ Equity
Liabilities = Assets + Shareholders’ Equity
None of the given options
Question 3: Which of the following motives for holding cash is required by the bank before loaning money?
compensating balance motive
transactions motive
precautionary motive
none of the above
Question 4: The future value of an annuity is:
less than each annuity payment
equal to each annuity payment
more than each annuity payment
none of the above
Question 5: Warrants are:
investments whose value is directly related to the price of the underlying stock.
the same as call options
the same as put options
none of the above
Question 6: Why companies invest in projects with negative NPV?
Because there is hidden value in each project
Because there may be chance of rapid growth
Because they have invested a lot
All of the given options
Question 7: A business combination where the resulting firm maintains the identity of the acquiring firm is called a:
conglomerate
merger
consolidation
none of the above
Question 8: Which of the following pieces of legislation required that banks keep their commercial and investment functions separate?
McFadden Act
Gramm-Leach-Bliley Act
Glass-Steagall Act
none of the above
Question 9: Total asset turnover will indicate if there is a problem with the __________ ratio.
debt to assets
times interest earned
fixed asset turnover
current
Question 10: The method of bond repayment where debt is converted to shares of common stock in the company is called:
serial repayment
conversion
sinking fund provision
call feature
